To paraphrase Will Rogers, more liars were made of the American people from income tax than from golf.

But if the IRS made it easy and almost impossible to lie on a tax return, would anyone be interested?

Doug Shulman, the IRS Commissioner, recently hinted that if the IRS would prepare taxpayers’ returns the potential for tax fraud would be reduced. No-one would have to prepare their own returns at tax time because the IRS would do it for them.

The common name for this idea is a “ready return” or “simple return.” The IRS would complete the … Read more at 2010 Tax.

Tax season is upon us and even though the filing deadline is months away we all need to be prepared ahead of time. The required documents for each of us will arrive in the mail in the month of January so everyone who plans to file taxes needs to start preparing files and documents that have tax implications.

New for 2012 is the fact that the The Internal Revenue Service (IRS) gave taxpayers an extra two days to file taxes this year. April 15th falls on a Sunday and the 16th is Emancipation Day (an observed District of Colombia holiday) … Read more at 2010 Tax.

The guidelines that are in place from the IRS enable workers and business owners to claim for mileage as a business deduction if you are using your vehicle for business purposes. Some people who are employed are able to deduct business mileage if it is not reimbursed by employers or is only partially reimbursed at a rate that is lower than the official business mileage rate.

Owners of small businesses also often use their vehicles for business related purposes and in this event they too can claim their mileage as a business expense. However, it is important that no matter … Read more at 2010 Tax.

A tax audit can occur for several different reasons that most people are not aware of.  You will have to comply with at least two of these factors before you have anything to worry about.

The most popular reason for a tax audit is unreported income.  Here, there is a lot of paperwork that must be filled out and completed.  When the paperwork contains errors or does not get turned it at all, issues can start to occur.  This type of paperwork is also time sensitive and should be received in order to file by January 31st.

Improperly prepared tax … Read more at 2010 Tax.

The IRS wishes taxpayers to be on the look out for 2010 tax scams. These rip-offs are not legal and could cause severe troubles for taxpayers which include paying huge interest and fines, and facing jail time. Tax scams come in a few forms ranging from a promise of a big tax refund or methods to avoid paying taxes that are illegal also called ‘untaxing’ yourself.

You should always remember the proceeding three hints.

* The content provided in your 2010 tax return is your sole responsibility.
* Don’t sign the return unless you have examined everything closely to … Read more at 2010 Tax.

It is that time of the year again.  Yes, tax time.  There are many people that like to procrastinate and wait until the last minute to fill out their taxes.  For this, there are ten tax tips to help anyone to fill out their taxes each year.

1. The first thing that anyone needs to do is to gather all their records and information.  Being organized in this situation really comes in handy.  Keeping all records together and in one place will help greatly. Some of these documents include canceled checks, receipts, and any other possible documentation that shows proof … Read more at 2010 Tax.

There have been a lot of changes in the past few years regarding the tax laws. One change includes the Job Creation Act of 2010, which was part of a package designed to help stimulate the economy into new growth. These changes affected the money people earned in 2011 with some of the affected areas being in worker’s gross pay and people’s pensions checks.

When creating new laws during the 2010 tax period there were also several credits that were cut including the making Work Pay credit. The various credits were extended to people who were actually employed during … Read more at 2010 Tax.

For someone who is getting ready to file their personal income taxes, it is easy for them to be eager about the money that may be coming their way. This can cause someone to make mistakes on their tax forms, and to make mistakes that may end up costing them money, or getting them into trouble. One thing that not everyone wants is a tax audit, and this can often be caused by improperly filed taxes. There are many different things that you will want to remember when filing your 2010 taxes, to avoid an audit or additional problems … Read more at 2010 Tax.

Income That is Not Taxed!

While preparing your taxes this year you might notice that some forms of income are not taxed at all while other kinds of income are only partially taxed. You can save thousands of dollars in taxes each year by having non-taxable income compared to taxable income. The IRS has provided a list of incomes that are not taxed.

Included in the list of non-taxable income is adoption expense reimbursements, cash rebates for manufacturers, child support that you received, welfare, gifts, inheritance, compensatory damage awards, workers compensation, and meals and lodging reimbursed by your employer.

Examples … Read more at 2010 Tax.

The ABC of Filing Tax Returns for the Deceased

Death is an inevitable part of a human life. When a person dies, he leaves his mortal body but taxes may also remain attached to him or her. In fact after death, one final tax return needs to be filed for the deceased person.

After death, a person’s finances are immediately converted into something which is called an estate. The estate then has the responsibility of filing a tax return after covering the finances that include income and distributions to the heirs and other beneficiaries of the deceased.

When someone passes … Read more at 2010 Tax.